Pace Oil and Gas Ltd. (fka MDOEF)

[covan68]

MDOEF was mentioned a couple of months ago in an investment newsletter. Apparently the company was spun off from PVX, and contains the proven reserve properties of that company. Going forward, PVX intends to concentrate on natural gas & derivatives. The article suggests a book value of around $19/share for Pace, and expects it to trade closer to that mark once they get a NYSE listing and start paying dividends.

[dgwelsh]

anybody read anything new about this company?

[strikehold]

Total BS. Last two day’s nothing but buys and MM’s keep walking this down. Hello! SEC do your job and stop watching porn!!!!!

[mick]

not on greysheets. imho

[mick]

yes i know been in longtime.

[mick]

see how much pvx is worth? wow.

[bharveyalamos]

Mick: Grey Sheet Trading

They got to start somewhere !

[bharveyalamos]

MICK: PROVIDENT ENERGY TRUST

As stated in my previous post to you, Provident Energy Trust (PVX) is traded on the NYSE and has traded on the NYSE for a long time. We have owned their stock since June of 2008, so PVX is NOT Just a Canadian Traded Company.

Most All of the Big Oil & Gas Canadian Companies are traded on the NYSE today ! They have a lot of U.S. Investors and most of their stocks have a large daily volume. Provident Energy Trust (PVX) is currently paying a Dividend equal to about 10 1/2% to 11% per year, depending on which day you buy their stock. That certainly beats Kansas City Railroad's Preferred Stock (KSU) Priced at a little over $1200.00 per share with an annual Dividend Return of approximately 4% !

[bharveyalamos]

Mick : Shell Question

Pace Oil & Gas Ltd. is no longer a 'shell company' as of June 30, 2010, and with the stock transfer from PVX on July 13, 2010,
this si a full blown operating company.

This si actually a "spin-off" company from Provident Energy Trust. This was Provident Energy Trust' "upstream business" and Provident Energy Trust actually "spun it off" and then Merged Midnight Oil Exploration into it to for Pace Oil & Gas Ltd.

I have not actually sopken with Fred Woods, CEO, but I intend to call him next week. I have spoken with Glen Nelson, the head of Investor Relations with Provident Energy Trust, and he was very helpful with information and with any question that I asked him.

As of Now, Pace Oil & Gas Ltd. is an operating company and has a very good looking financial statement, from what I have seen. This "spin-off" is going to be a very interesting venture because they have fairly good production of oil and natural gas and have a vast selection of available drilling contracts. By the way, Fred Woods, CEO, was previouslu the 'head' person at Midnight Oil Exploration.

To make it more understandable, The current 'upstream production', for Pace Oil & Gas Ltd. came from both Midnight Oil Exploration and Provident Energy Trust and I think that most of the drill locations available came from Midnight Oil Exploration. What this 'spin-off' actually did, as I understand it was to free up Provident Energy from having to run their "upstream business" along with their other oilo and gas business, which includes storage facilities and production and it also gave Midnight Oil Exploration Ltd. a real 'shot in the arm' to be able to have the available funds to increase their extensive drilling operations. It is a complex situation and will prove to be an interesting concept.

The main purpose that Provident Energy Trust "spun-off" their 'upstream business' is because the Tax Laws in Canada are changing as of January 1, 2011. Currently and previously, in Canada, these 'Energy Trust Companies', i.e. PVX, PWE, BTE, HTE, etc. all operated under the premise that as long as approximately 95% of their net profits were returned to the stock holders in Dividends, these 'Energy Trust' Companies Canadian Income Tax was almost nothing compares to just being a regular corporation in Canada. This is why, up until the price of Oil 'went down the tube' last year, these 'Energy Trust' Companies were all paying Dividends of between 10% and 15% per year, either on a quarterly or on a monthly basis. When the Oil Prices 'dumped out' last year, these companies had to Cut Their Dividends by approximately 1/3 to 1/2 because of the drop in the Oil Prices. At the same time, you have to realize that the Oil and Gas that these companies are presently selling is All On A Contract Basis; therefore, the prices that they are shipping Oil today might be, for example, on a months' contract from approximately two (2) to three (3) months ago. They enter new Contracts for Sales and Shipments on a Month to Month basis and Stay about three (3) to five (5) months anead on Contracts.

At one time, until last Fall, we had stock in approximately six(6) or seven(7)of these "Energy Trust Companies", in Canada, and {strictly through Dividends Received} our annual return was averaging approximately 13 1/2% to 14% annually. After the Oil Prices 'crunched down', HTE {Harvest Energy} decided that they were going to sell out to Korean Oil Company, which is owned by the Korean Government. We did not want anything to do with that deal so we sold our HTE stock last December, about two (2) weeks before the 'sell out' took place. After that, since the Dividends were less that we had been previously getting, we sold some of the other 'Energy Trust" Stocks we had and reinvested in some U.S. Companies, such as American Capital (AGNC), currently paying a quarterly Dividend equal to approximately 20% return on your investment per year and some similiar other High Yield Dividend Stocks. We kept our shares in Provident Energy Trust (PVX and Pengrowth Energy Trust (PGH), both Canadian companies and traded on the NYSE.

I hope that this will give you a little background on what is happening with the Oil and Gas business in Canada. If you have further questions or need more information, you can e-mail me here or you can use my regular e-mail at:
[e-mail]

Regards,
BUD HARVEY

[SeaOhToo]

Mick, how does this spin off compare to EOR.V Enhanced Oil Resources?

They announced 530 BOPD and adding an additional well that tested 160 boepd. $18 MM in revenue, SP .18-.20, MKT Cap of $29MM.

I dont have PM but wanted you to look at it.

http://investorshub.advfn.com/boards/read_msg.aspx?message_id=52218857

[mick]

little reasoning here. pvx is a fund on canadian exch.

so by pvx being locked in canada i think this new company to do american trading business.

[mick]

i was reading at pinks. looks like this will have to be updated at pinks.

strange to be in a shell.

[mick]

Pace Oil and Gas Ltd (USOTC:MDOEF)
Last Price (USD) $8.15
Change ? -0.2345 (-2.80%)
Bid -
Ask -
Volume 164,250
Days Range 8.07 - 8.31
Last Trade 7/15/2010 3:25:42 PM

[mick]

well good spinoff. but trades greysheeter.

[bharveyalamos]

PACE OIL AND GAS LTD (MDOEF} is a New Listing and is an exciting new venture in the Oil & Gas Business in Canada. It is 81% owned by the Unitholders of Provident Energy Trust (PVX), which is listed on the NYSE. Please do your DD and Research !